EUR/USD Revisits Recent Lows After Hammer Formation Falls Flat
- EUR/USD Technical Strategy: Pending Short
- Hammer Formation Fails To Find Follow-Through
- H4 Lacking Bullish Reversal Signals Near Support
EUR/USDhas slipped back below the 1.2500 handle after a bullish signal from a Hammer formation failed to find follow-through. As noted in recent reports the scope for the pair’s advance was likely limited given the nearby 1.2620 barrier overhead. With reversal signals now lacking a break below the recent lows near 1.2430 may set the scene for a descent on the late August ’12 lows near 1.2250.
EUR/USD: Hammer Candlestick Falls Flat
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
A string of Doji formations on the four hour chart suggested hesitation from the bulls to lead the pair higher in intraday trade. Despite the proximity to buying interest at the 1.2440 mark bullish reversal patterns remain absent. This leaves a rebound over the session ahead as questionable.
EUR/USD: Bullish Reversal Signals Lacking Near Intraday Support
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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